|
Debts, due process delay
N83.2b Abuja projects
By Don
Bassey
Correspondent, Abuja
Contractors handling major
infrastructure projects in the Federal Capital Territory (FCT) have
faulted the Federal Government for using its Budget Monitoring and Price
Intelligence Unit (BMPIU), also known as Due Process, to breach
contractual agreements signed with them.
The current administration awarded
all the contracts in question, except one, between 2000 and 2003 for a
total contract value of about N83 billion in local and foreign currencies.
They include the Katampe District Extension Infrastructure Project awarded
to RCC (Nig.) Limited for N7.93 billion in 2001; Wupa Basin Sewage
Treatment Plant awarded to SCC (Nig.) Ltd and the Interceptor Sewer Lines
and Sewer Trunk Main to Wupa Sewage Treatment Plant both of which were
awarded in 2000 to SCC (Nig.) Ltd for N6.97 billion and N1.08 billion
respectively.
The Complementary Engineering
Infrastructure Facilities to the Federal Capital City (FCC) was awarded to
Julius Berger (Nig.) Ltd for a contract sum of N24.72 billion in 2001. In
2003, Dantata & Sawoe (Nig.) Ltd were awarded a N6. 32 billion
contract to construct Guzape District Infrastructure (Lot 1) while the
infrastructure for Guzape Lot 2 went to Gilmor Engineering (Nig.) Ltd in
the same year for N14 billion.
The late Gen. Sani Abacha awarded
the contract for the Utako District Infrastructure in 1993 to Arab
Contractors (Nig.) Ltd for a contract sum of N894, 218, 462 and DM138,
671, 419 which translate to N7.82 billion in 1993 before the contract sum
was reviewed upwards to N3.03 billion in local currency and DM148,
789,458.8 amounting to N8.37 billion under the current administration.
Daily Independent investigations reveal that
work at most of the sites has slowed down or stopped completely due to
government�s failure to release funds as at when due. For instance, a
staff at the Utako District Infrastructure office said that the Federal
Capital Development Authority (FCDA), the arm of the FCT administration
saddled with the responsibility of developing infrastructure in the FCC,
has not released any money to them since the sum was revised and presented
to the Due Process several months back. The contractor handling the
project-Arab Contractors has vowed not to return to continue work until
the revised contract sum is approved by the Due Process. Even where the Due Process
Certificate for payment has been issued as it was done for RCC on June 23,
2004, cash backing has still delayed actual payment as the Site Engineer,
Simcha Fishler told the FCT House of Representatives Committee which
embarked on a fact-finding tour there recently.
The Complementary Engineering
Infrastructure facilities to the FCC is also bugged down by none payment
of certificates certified for payment to the contractors, Messrs Julius
Berger (Nig.) Ltd, even as the firm claims to have attained 77 per cent
job completion on the project.
Our investigations also reveal that
the contractors have been paid a little over N43.34 billion of the N83.2
billion contract sum for the
seven projects, five of which have gone past their original completion
periods. Only the Guzape District Infrastructure projects have completion
periods stretching into 2005 and 2006 respectively.
| 
